Firms Offer Health Benefit Solution for Mid-Size Employers

April 2, 2014 ( - AIG Benefit Solutions and Scott Captive Solutions have entered into a strategic partnership to offer CAPvantage Select.

CAPvantage Select is a national group medical stop-loss captive program designed to meet the growing demand among mid-market employers for self-funded options in the era of health care reform. It is a health-financing solution for companies who want to control health care costs, reduce their risk and manage tax expenses and fees associated with fully insured products.

“Group captives allow employers to address the volatility, non-transparency and cash flow concerns often associated with the traditional self-funded and fully insured market,” explains Pim Jager, a vice president at Scott Captive Solutions. “At the same time these group captive programs provide tools and partnerships with best in class vendors to help employers better manage the health risk in their population and drive better financial outcomes in the long term.”

CAPvantage Select offers employers:

  • The benefit of banding together high performing companies;
  • Large-group purchasing discounts on administrative services, cost management tools and network access fees;
  • A medical stop-loss component that can be structured for greater control over cost increases;
  • Opportunity to achieve a return on a portion of captive premium through effective high-risk management resources and good claim performance; and
  • Potential help mitigating the tax burden imposed by the Patient Protection and Affordable Care Act (ACA), which can range from 2% to 5% of premium.

CAPvantage Select turnkey solution offers mid-size employers resources normally reserved for much larger companies including:

  • Flexibility in plan designs;
  • Access to multiple National PPO (preferred provider organization) Networks;
  • Lower pharmacy cost through a large coalition contract with a national pharmacy benefit manager; and
  • Health risk management programs, including clinical prevention services and specialized oncology medical management.

“One of the major challenges we see facing mid-market employers today is the rising cost of employee health coverage and determining a cost-effective approach to maintain their employee benefit programs,” says Bob Hosler, national sales director of stop loss captives at AIG Benefit Solutions. “CAPvantage Select was developed to specifically meet this growing need.”

For additional information regarding CAPvantage Select contact Pim Jager at Scott Captive Solutions, 804-545-2235, or Bob Hosler at AIG Benefit Solutions, 740-641-6379.